The Indian crypto industry is facing new regulatory requirements as FIU-IND mandates updates for crypto exchanges.
Reasons for Updating KYC Rules
The Financial Intelligence Unit of India (FIU-IND) requires all crypto exchanges to update user data as part of tax compliance. An investigation revealed non-adherence to applicable tax rules by various users and platforms.
What Crypto Users Need to Do by June 30
Crypto exchanges must request their users to reverify KYC details, including submitting essential information such as Permanent Account Number (PAN). Non-compliance may lead to regulatory actions.
Industry Reaction to New Measures
Local and global exchanges, including Binance, have started notifying users of the KYC re-verification process. The Bharat Web3 Association welcomed FIU's decision, stating it would enhance transparency and security within the sector. Mudrex CEO Edul Patel emphasized the importance of user education on tax obligations.
The new requirements from FIU-IND indicate India's commitment to creating a structured crypto regulatory environment. Further regulations are expected in the future.
